Cartels are inherently self-destructive because each member firm has the incentive to cheat on the cartel agreement
What will be an ideal response?
True. Unless the cartel can establish mechanisms to detect and punish cheaters, the agreement will fail.
Economics
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If the money supply grows faster than the rate of growth in GDP
A) prices fall. B) interest rates fall. C) prices rise. D) none of these choices.
Economics
Trade diversion results in
A) an increase in the total amount of trade in the world. B) a decrease in the total amount of trade in the world. C) no change in the total amount of trade in the world. D) either an increase or decrease in the amount of trade in the world, depending on where trade takes place.
Economics